(MENAFN) Tokyo equities tumbled for a fourth consecutive session Wednesday as semiconductor stocks dragged markets lower, with investors bracing for chip powerhouse Nvidia Corp.'s highly anticipated earnings release.

The 225-issue Nikkei Stock Average, Japan's primary benchmark, shed 165.28 points—a 0.34 percent decline—closing at 48,537.70 compared to Tuesday's finish.

Meanwhile, the broader Topix index retreated 5.52 points, settling 0.17 percent lower at 3,245.58.

Market analysts attributed the downturn to heavy selling pressure on semiconductor-related heavyweight stocks, sparked by mounting anxiety over recent weakness in U.S. artificial intelligence sector equities and apprehension surrounding Nvidia's impending financial disclosure.

However, bargain hunters provided modest support to the market, purchasing oversold shares following the Nikkei index's brutal 3 percent nosedive the prior session—marking its steepest single-day percentage loss since April.

The chip sector's volatility continues to ripple through Asian markets as investors weigh the sustainability of the AI-driven rally that has powered technology stocks throughout the year.

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